SCHEDULES
SCHEDULE 22 Tonnage tax
Part III Qualifying companies and groups
Effect of change of use
22
1
A qualifying ship that begins to be used F1for non-qualifying purposes ceases to be a qualifying ship when it begins to be so used, subject to the following provisions.
2
If—
a
a company operates a ship throughout an accounting period of the company, and
b
in that period the ship is used F2for non-qualifying purposes on not more than 30 days,
that use shall be disregarded in determining whether the ship is a qualifying ship at any time during that period.
3
In the case of an accounting period shorter than a year, the figure of 30 days in sub-paragraph (2) shall be proportionately reduced.
4
If a company operates a ship during part only of an accounting period of the company, sub-paragraph (2) has effect as if for “30 days", or the number of days substituted by sub-paragraph (3), there were substituted the number of days that bear to the length of that part of the accounting period the same proportion that 30 days does to a year.
5
In this paragraph references to use F3for non-qualifying purposes are to—
a
use for an activity other than any of the activities mentioned in paragraph 19(1)(a) to (d), or
b
use as a vessel of a kind excluded by paragraph 20 from being a qualifying ship.
F46
This paragraph does not apply for the purposes of sub-paragraphs (2) to (5) of paragraph 20A (qualifying dredgers and tugs).